When individuals consider effective capital management, they often begin by checking the share exchange. However, there are many other monetary management methods besides simple stocks, even ordinary assets and trading foreign exchange reserves. In fact, it is often prudent to distinguish your portfolio from - or even the opposite of - speculation unrelated to the performance of the stock exchange.
1. Land speculation trust
Those who are finding ways to put resources into land and property, but either missed the mark of cash or missed the ideal opportunity to carry out item by item research, which is very important for their successful passing. REITs invest resources into the land range, including accommodation, commercial structures, inns and storerooms. This will let you remember the land of your investment portfolio. Whether you have $2 million or $3 million to wander around or spend a lot of time exploring your area, you can buy some properties yourself.
2. Shared loans
You can use resources to advance loans to others through the shared loan management organization. You can provide a limited amount - only $25 - to support the credit mentioned by the customer, and then get the interest repayment when the credit is repaid. The bet is that, you will lose your speculation when the borrower defaults.
3. Reserve Fund Securities
Look at reserve fund securities. Suppose you are looking for speculation to pay for stable loan costs. The investment fund securities shall be submitted by the national government and the income shall be paid within the scheduled time. They are usually very safe, because they are paid by public institutions, so the main way that you may lose cash is that public institutions are unlikely to default. You can buy EE series securities, which have paid considerable loan costs, or I series securities. Considering the expansion rate, they have a part of financing costs.
4. Gold
Maybe You can invest resources in gold in various ways, including gold bars, gold mining organizations, gold prospect contracts and shared reserves that put resources into gold. Anyone who want to buy gold bars should try to have a protected place to store speculation, just like a protected storage box in a bank. The government trading commission warned that the price of gold may rise, and you should explore any organization you use to buy some resources in gold before buying gold. However, this seems to be a special reward, because the organization will store gold safely for you. If you do not actually monitor the gold you buy, it is particularly important to ensure that you are managing a respectable organization
5. Warehouse test
The store test refers to the financial balance that provides a reasonable interest rate within a period of time. However, if you withdraw cash before the end of the period, you will suffer the consequences of early withdrawal to a large extent. The cost of financing is usually not comparable to the long-term return of stock exchanges, but the full confidence and credibility of the US government ensure this.
6. Corp Bonds
When organizations need cash, they usually issue securities. The bonds pay interest within a specified period, and then pay the presumed value of the bonds when they are issued. The loan fee depends on the borrower's default risk. Compared with stocks, claiming the security of an organization does not mean that you have any responsibility for the organization. So if the organization really does well, you will not bring extra cash. However, when the company's performance declines, there is no adjustment to the interest you owe, so your profits are more surprising than shares. Considering all the factors, although corporate securities are greatly protected in many cases, there is no proof that if you default.
Conclusion
So, there are some ways to exclude financial exchanges. Whether you can't get rid of the fear of investing resources in stocks, or you just need to strengthen your portfolio, understand some optional risk options, and let your cash do something for you. However, the scope of these decisions’ ranges from highly protected to highly unstable, so work is done before contributions are made.
